Federal Iraq’s consumption of refined products has blown past 2013 levels this year as areas liberated from Islamic State (IS) control are being reintegrated into the state. July products consumption hit 709,000 b/d, easily surpassing the previous record of 692,000 b/d set in June. Consumption is up a whopping 53% on July 2015 volumes of 464,000 b/d.

Year-to-date consumption levels are up substantially as well. Quarterly products consumption exceeded 600,000 b/d in consecutive...